Gold price attempting to break above 200–DMA

June 19, 2015

London (Jun 19)  Gold is making another attempt to break over and above its 200-DMA currently located at USD 1202.58/Oz ahead of the US session.

Safe haven bids eyed

The safe haven demand for the metal could continue to remain high in the absence of a major economic data release out of the US today. Prices took out the 200-DMA on Thursday to print a high of USD 1205.8, although it failed to sustain above 200-DMA on closing basis.

Whether or not the pair manages to break above 200-DMA depends entirely on the sentiment on the Wall Street. Increased risk aversion may see the metal re-test previous session’s high of USD 1205.8/Oz.

Gold Technical Levels

At the moment, the metal is trading at 1201.6/Oz, with the immediate resistance at 1202.58 (200-DMA), above which the pair could rise to 1205.8. On the other hand, a break below 1200 could see the pair extend the drop to its 50-DMA at 1192.82.

Source: FXstreet

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